Making money is every agent’s real goal. RealEstateLeads.ca will provide you with 40-60 fresh and real leads per month – but it never hurts to do extra prospecting to catch that extra fish or two.
There are various reasons why agents “give up” on prospective customers.
Maybe the critical reasons why so many prospects eventually spiral out of control one is that many or most agents really don’t really have a well thought out plan including: scripts, a clear value proposition, objection solutions, and measurement tools. Your mindset should be that of running a business. However, about 9 out of 10 agents do little, or no performance tracking. Tracking your results (and failures) is only an advantage in achieving real estate success. Have your notebook/diary always handy!
Here is a typical outline of an initial dialog with a prospect:
· * Location: find out where do they want to live?
· * Price: About what price are they shopping for.
· * Motivation: What brings the prospect into the market?
· * Progress: Ask the prospect how long s/he have been looking for a new home.
· * Financing: Find out if they a cash buyer or a mortgage buyer.
· * Appointments: Set the 1st one.
Do you often leave a voice mail, or do you often not leave a voicemail? One of the most important ways to improve your numbers is to simply be aware of your approaches.
B. Organize your leads
An “A”-grade prospect is one that is 1) ready, 2) willing, and 3) able to buy in the next 30-40 days. A “B”-grade prospect intends to close between 40-90 days, while a C-grade prospect projects to buy in more in 3+ more months.
For an A-prospect, your objective is always to set an appointment. (because it is impossible to sell a house without an appointment.) Never say “I’ll call you back in a few days” – because you will just be wasting that much time. Always strive to set appointments with your A-leads.
If a lead is a “B” or a “C,” enter them into the email drip system then follow up with them once every 2-3 weeks.
Most agents, when they have a hot A-prospect in their queue, they tend to shy away from talking a lot. However, the minimum time you should be spending on the phone with them at this point is 7-9 minutes. If you have a prospect that is itching buy a $800,000 house with a $24,000 commission – you should be willing to spend at least 10-100 minutes with them. In order to do engage them for at least 10 minutes you need to activate building-a-relationship-mode in your mind. Keep in mind that this person needs you, and you should be confident in building up a relationship with them, because you are part of the equation towards something they need – a licensed real estate agent.
The top-priority people you should meet with are your A-prospects. In other words, you should focus most heavily on your dollar productive activities.
C. Following up is mandatory
Here are some revealing (approximate) facts:
· 47% of agents never follow up with a prospect (nuts!)
· 24% of agents make a 2nd contact and then decide to let it go
· 11% of agents make only 3 contacts on average
· Only 9% of agents make more than 3+ contacts
· 2% of sales are made on the 1st contact
· 3% of sales on the 2nd contact
· 5% of sales on the 3rd contact
· 10% of sales are made on the 4th contact
· 20% of sales of the 5th conversation
D. Script rehearsal
If you want to memorize your script – an easy way to do it is to record it on your phone. Then while you’re driving about, you can listen to the recording repetitively. By doing so, after a handful of days, your mind will have your script permanently burned into memory. Investing in memorized a couple of good scripts helps you mix and merge them to then be able to say the right key things instantly at the right time.
E. Talk to prospects like talking to a friend
No need to ever be nervous on the phone. To build rapport fast, feel (and therefore project to them) like you’re talking to a friend. You’re offering your clients “friendly” help and assistance.
A good reminder is that have two ears and one mouth: we are supposed to listen twice as much as we talk. But, you are the one that should be in control of the conversation. So your basic approach should be “answer then ask” or “acknowledge then ask”. Repeat/paraphrase what the prospect just said to you – they like knowing that you are actually listening to them. Structure/flowchart ask questions so whatever answers they have, you can further guide the conversation.
F. Don’t say “Can I have your phone number?”
Saying “Can I have your phone number?” is not a good idea. Just say affirmatively “What is the best phone number to reach you at? Home or your cellphone?”
G. Prioritize Appointments
Prospecting really begins with the first contact with your lead. Exchanging emails with your leads can be entertaining, but you can’t sell a house until you’ve had a decent voice conversation with a buyer. Typically, an agent can’t sell a house without first having completed an appointment as well.
One of the single common denominators of top producing agents is that they put in time *every day* to get that next appointment with their priority leads/prospects. They communicate *every day* until they have a new appointment.
H. Talk finance
If your prospect is on your “A”-list, you should talk about mortgage & financing. First inquire, of him or her whether they are cash buyer or requiring a mortgage. You need make sure that the prospect you are talking to is able to afford the home they are looking at. If they are a cash buyer, they should get a letter, or account statement, from their bank to walk the talk and to make sure that they won’t require a mortgage after all.
I. Focus on call quality rather than quantity
After prioritizing your leads, start calling them. How many can speak to in an hour? Forget that. You should care more about what you do with each prospect when you are on the phone with, rather than getting through your list as fast as possible. Build as much rapport as possible within reason; seeking to understand rather than being understood. Understand where each person is coming from. Take notes next to their name.
J. Close the appointment
After asking mortgage & financing questions of your A-list prospects, is the best time to close for the appointment. Most agents think it’s too early to set an appointment and say things like “Well now, why don’t I email you some listings?” Rather, here’s the basic line for setting the appointment: “(Name), based on the information we’ve just discussed, here’s what I recommend we do… Let’s set up a time to get together at my office where we can go over the whole home-buying process. I furnish a complete market overview and then we’ll set up a time to go look at homes of your choosing… How does that sound?”
As the statistics in section C state indirectly: about 80% of sales are made with 5+ contacts, implying that most agents are giving-up way too early. Work on your mindset, determination, and finesse; as most clients don’t like cold calling. You must persist; because 80% of sales are made between after the 5th contact.
Following a good action plan can take an agent all the way up the ladder of success. Many real estate agents don’t work their leads enough, but these tips are tried and true and golden. Work on practicing the skills listed above every day, even from the beach.
Did you find this article insightful? We’d like to hear from you about this article or any other questions or comments your may have.